The price of Colombian coffee increased drastically in April and recorded its highest monthly average since February 1998, the International Coffee Organization (ICO) stated Monday.
Heavy rains and the reduction of fertilizers had previously led resulted in a shortfall of coffee, not only in Colombia but also in Central America.
This, combined with increased demand from the U.S. and European markets led prices to rise.
The rocketing prices of Colombian Milds, which continued during the first week of May, have had a ratchet effect on prices of other coffee company groups too.
The monthly average of the ICO composite indicator price was up from 105.87 US cents per lb in March to 111.61 US cents per lb in April.
Finance
Minister Oscar Ivan Zuluaga said "we're producing less coffee and the shift in the market can be attributed to this restricted supply".
